October 17, 2007, Introduced by Senator GILBERT and referred to the Committee on Finance.
A bill to amend 1893 PA 206, entitled
"The general property tax act,"
by amending section 24 (MCL 211.24), as amended by 2002 PA 620.
THE PEOPLE OF THE STATE OF MICHIGAN ENACT:
Sec.
24. (1) On Except as
otherwise provided in subsection
(2), on or before the first Monday in March in each year, the
assessor shall make and complete an assessment roll, upon which he
or she shall set down all of the following:
(a) The name and address of every person liable to be taxed in
the local tax collecting unit with a full description of all the
real property liable to be taxed. If the name of the owner or
occupant of any tract or parcel of real property is known, the
assessor shall enter the name and address of the owner or occupant
opposite to the description of the property. If unknown, the real
property described upon the roll shall be assessed as "owner
unknown". All contiguous subdivisions of any section that are owned
by 1 person, firm, corporation, or other legal entity and all
unimproved lots in any block that are contiguous and owned by 1
person, firm, corporation, or other legal entity shall be assessed
as 1 parcel, unless demand in writing is made by the owner or
occupant to have each subdivision of the section or each lot
assessed separately. However, failure to assess contiguous parcels
as entireties does not invalidate the assessment as made. Each
description shall show as near as possible the number of acres
contained in it, as determined by the assessor. It is not necessary
for the assessment roll to specify the quantity of land comprised
in any town, city, or village lot.
(b) The assessor shall estimate, according to his or her best
information and judgment, the true cash value and assessed value of
every parcel of real property and set the assessed value down
opposite the parcel.
(c) The assessor shall calculate the tentative taxable value
of every parcel of real property and set that value down opposite
the parcel.
(d) The assessor shall determine the percentage of value of
every parcel of real property that is exempt from the tax levied by
a local school district for school operating purposes to the extent
provided under section 1211 of the revised school code, 1976 PA
451, MCL 380.1211, and set that percentage of value down opposite
the parcel.
(e) The assessor shall determine the date of the last transfer
of ownership of every parcel of real property occurring after
December 31, 1994 and set that date down opposite the parcel.
(f) The assessor shall estimate the true cash value of all the
personal property of each person, and set the assessed value and
tentative taxable value down opposite the name of the person. In
determining the property to be assessed and in estimating the value
of that property, the assessor is not bound to follow the
statements of any person, but shall exercise his or her best
judgment. For taxes levied after December 31, 2003, the assessor
shall separately state the assessed value and tentative taxable
value of any leasehold improvements.
(g) Property assessed to a person other than the owner shall
be assessed separately from the owner's property and shall show in
what capacity it is assessed to that person, whether as agent,
guardian, or otherwise. Two or more persons not being copartners,
owning personal property in common, may each be assessed severally
for each person's portion. Undivided interests in lands owned by
tenants in common, or joint tenants not being copartners, may be
assessed to the owners.
(2) If the combined taxable value of a taxpayer's personal
property classified as utility personal property under section
34c(3)(e) and real property classified as industrial personal
property under section 34c(2)(d)(ii) is greater than $50,000,000.00,
the state tax commission shall assess that real and personal
property in the immediately succeeding year and determine the
information necessary for the assessor to prepare the tax roll
under subsection (1). If the state tax commission assesses real and
personal property under this subsection, the attorney general shall
defend any appeal of that assessment.
(3) (2)
The state geologist, or his or her
duly authorized
deputy, shall determine, according to his or her best information
and judgment, the true cash value of the metallic mining properties
and mineral rights consisting of metallic resources that are either
producing, developed, or have a known commercial mineral value,
including surface rights and personal property that may be used in
the operation or development of the property assessed, or any
stockpile of ore or mineral stored on the surface. For the purpose
of encouraging the exploration and development of metallic mineral
resources, metallic mineral ore newly discovered or proven in the
ground and not part of the property of an operating mine shall be
exempt from the taxes collected under this act for a maximum period
of 10 years or until the time it becomes part of the property of an
operating mine or it in itself becomes an operating mine. Metallic
mineral ore newly discovered or proven in the ground and part of
the property of an operating mine shall be exempt from taxes
collected under this act until it, in combination with previously
discovered metallic mineral ore of the operating mine, comes into a
10-year recovery period of the mine as determined by the average
normal annual rate of extraction of the mine.
(4) (3)
An operating mine shall be defined
to be an operating
mine as of the date of starting of a shaft, stripping of
overburden, or rehabilitation, or an abandoned or idle mine closed
for not less than 2 years. Ore shall not enjoy more than 10 years'
exemption from taxation. This section does not exempt from the
taxes collected under this act ore reserves proven as of April 1,
1947. It is the intent of this act that mineral properties shall be
valued and assessed in the future for ad valorem taxes according to
the formula used in the valuation of mineral properties before the
effective date of this act. It is the intent of this act that no
metallic mineral ore shall be exempt more than 10 years because of
the application of this act and if at any time it becomes evident
that such is the case, the state tax commission shall determine the
value of this untaxed ore and place this valuation on the proper
tax roll. The state geologist shall report his or her determination
of the true cash value of the mineral properties to the state tax
commission on or before February 10 of each year. The state tax
commission shall assess the mineral properties containing 20% or
more of natural iron per ton of ore in conformity and uniformity
with all other property within the assessing district. The state
tax commission shall assess all other metallic mineral properties
at the value certified by the state geologist. The state tax
commission, as early as is practicable before February 20, shall
certify the assessment of the property to the assessor of the
township or city in which the property is situated, who shall for
the mineral properties and mineral rights that are owned separate
from the surface rights on the property assess each to the owner at
the valuation certified to him or her. However, an adjustment to
the value certified by the state tax commission may be made by the
assessor of the township or city to reflect any general adjustment
of assessed valuation from the immediately preceding year not
included in the state tax commission computation. The assessor
shall determine the true cash value of the surface rights and
assess the value of the surface rights to the owner. The assessment
upon the metallic mining properties and mineral rights may be
altered from year to year regardless of whether any previous
assessment has been reviewed by the state tax commission. The
assessor or the owner of any interest in the property assessed may
appeal the assessment and valuation of the property as determined
by the board of review to the state tax commission which shall
review the assessment and valuation as provided in section 152.